Want to thank your employees or customers? The rules are not the same depending on the type of recipient. Here's what you can do about it
For employees
Gifts or "Gift vouchers":
The conditions to be respected in order to ensure a total deductibility of the gifts or "gift vouchers" in the company's head and a "non" taxation of the benefit in the employee's head are the following:
The gifts or vouchers must be given on the occasion of an annual event such as Christmas, New Year, St Nicolas, Saint-Eloi, etc...;
Vouchers must be worth a maximum of €40 per year per worker(*) and may be awarded for each dependent child of the worker;
All workers must receive the same benefit.
(*) A manager is considered a worker.
For clients
Gifts that you give to your customers are only 50% deductible.
Please note that the value of the gift may not exceed €125 (including VAT). Beyond this amount, a tax form must be issued. This means that your customer will be taxed...
Note that low-value promotional gifts with your company logo permanently printed on them (i.e. USB stick, umbrella, water bottle, pen, etc.) are 100% deductible.
What about VAT?
Value?
If the value of the gift is less than €50 (excluding VAT): VAT is 100% deductible.
If the value of the gift is more than €50 (excluding VAT): VAT is not deductible.
Goods or services?
VAT is only deductible for goods, not services. Tickets to museums, cultural events and concerts are services. This is also the case for cinema tickets...
Frequency?
VAT is only deductible for one gift per customer per year.
Alcohol and tobacco?
VAT is not deductible for spirits (> 22% alcohol), even if the value is less than €50 (excluding VAT).
Wine, port and champagne are not considered as spirits.
VAT on tobacco products (cigars, cigarettes, etc.) is never deductible.
Our opinion: "The gift has nothing to do with its price, it is all about the intention and the beauty of the gesture" (P. Bruckner).
However laudable your desire to give may be, you should never ignore the tax rules in this area. By respecting the various conditions for giving (maximum amount, type of gift) you ensure the peace of mind of both the beneficiary (worker or client who will not be taxed) and yourself and avoid receiving an unpleasant gift from the tax authorities at a later date...